LOS ANGELES—According to the Q1 2014 earnings report fromRBC Capital Markets, LTCProperties FFO fell well below estimates.Ending Q1 at $0.63 a share, FFO missed the mark by $0.64 per share,which, according to the report, was largely driven by high interestexpenses.

This loss was offset, however, by an AFFO thatexceeded estimates by $0.63 per share. And, while investmentactivity was slow with no new acquisitions or developments, thecompany continued to grow its $93-million investment portfolio byinvesting $16 million into $37 million of projects, which will bedelivered over the next three quarters. The REITdoes have several investments—valued at $250 million—in thepipeline, but won't close on any triple-nettransactions until the second half of the year.

The low investment activity during the quarter meant thatmetrics remained relatively unchanged. The company reported a debtto total capitalization ratio of 16.7%. In the past, the companyhas indicated it would begin accessing debt once that ratio reached25%. RBC doesn't expect that to occur until mid-2015.